Shriram Transport Finance to foray insurance broking biz

India Infoline News Service | Mumbai |

The company has applied to IRDA a few months back and the business is to cater to the needs of the existing customers

Shriram Transport Finance Company (STFC) is planning to enter into insurance broking business, according to a media report.

Currently, the commercial vehicle finance firm is waiting approval from Insurance Regulatory and Development Authority (IRDA) to start operations of the subsidiary, the report added.

The company has applied to IRDA a few months back and the business is to cater to the needs of the existing customers, the report said further.

In a prospectus filed by the company with the Securities and Exchange Board of India (SEBI), dated July 5, 2013, to raise Rs. 7.5 billion through public issue of non-convertible debentures (NCDs) the company said, "Further, our Company has incorporated a wholly owned subsidiary by the name of Shriram Insurance Broking Company Ltd (SIBCL), with an objective of entering into the insurance broking business and Shriram Insurance Broking Company Limited has applied to the Irda for registration as a direct broker on February 4, 2013 and is awaiting receipt of the same."

"It proposed to commence business of insurance broking upon receipt of the aforesaid registration from the Irda," added the company in its document.

The new subsidiary is part of STFC's efforts to expand its product portfolio and enter into certain new lines of businesses as part of growth strategy, it added. With this, the company has four subsidiaries, Shriram Equipment Finance Company Ltd, Shriram Automall India Ltd and SIBCL.

 

Advertisements

  • Save upto Rs.2.67 lakh with Pradhan Mantri Awas Yojana ...Know more
  • Now Save Rs.3150 on your Demat Account ...Click here
  • Now get IIFL Personal Loan in just 8* hours...APPLY NOW!
  • Get the most detailed result analysis on the web - Real Fast!
  • Actionable & Award-Winning Research on 500 Listed Indian Companies.